Section 31

Amendment of assessments 

(1) Subject to this section, the Commissioner may amend an assessment (referred to in this section as the “original assessment”) by making alterations or additions, from the available information and to the best of the Commissioner’s judgement, to the original assessment of a taxpayer for a reporting period to ensure that–

• (a) in the case of a deficit carried forward under the Income Tax Act, the taxpayer is assessed in respect of the correct amount of the deficit carried forward for the reporting period; 
• (b) in the case of an excess amount of input tax under the Value Added Tax Act, 2013, the taxpayer is assessed in respect of the correct amount of the excess input tax carried forward for the reporting period; or 
• (c) in any other case, the taxpayer is liable for the correct amount of tax payable in respect of the reporting period to which the original assessment relates.

(2) A taxpayer who has made a self-assessment may apply to the Commissioner, within the period specified in subsection (4)(b)(i), to make an amendment to the taxpayer’s self-assessment.

Finance Act, 2018Effective 1st July 2018
(3) Where an application has been made under subsection (2), the Commissioner may––

(a) amend the self-assessment; or 

(b) refuse the application, and the Commissioner shall notify the taxpayer in writing of the decision within thirty days of receiving the application. 
(3) Where an amended self-assessment return has been submitted under subsection (2), the Commissioner may accept or reject the amended self-assessment return and where he rejects, he shall furnish the taxpayer with the reasons for such rejection within thirty days of receiving the application.

(4) The Commissioner may amend an assessment––

• (a) in the case of gross or willful neglect, evasion, or fraud by, or on behalf of, the taxpayer, at any time; or 
• (b) in any other case, within five years of––  
• (i) for a self-assessment, the date that the self assessment taxpayer submitted the self assessment return to which the self assessment relates; or 
• (ii) for any other assessment, the date the Commissioner notified the taxpayer of the assessment. 

*Provided that in the case of value added tax, the input tax shall be allowable for a deduction within six months after the end of the tax period in which the supply or importation occurred.(Finance Act 2022-wef-01-July-2022*)

(5) Despite subsection(4)(b)(i) the Commissioner shall make an amended assessment on an application of a self-assessment taxpayer under subsection (2) if the application was submitted within the time specified in subsection (4)(b)(i).

(6) Where an assessment has been amended, the Commissioner may further amend the original* assessment—

• (a) five years after–– 
• (i) for a self-assessment, the date the taxpayer submitted the self-assessment return to which the self-assessment relates; or 
• (ii) for any other assessment, the date the Commissioner served notice of the original assessment on the taxpayer; or 
• (b) one year after the Commissioner served notice of the amended assessment on the taxpayer, whichever is the later.      (Finance Act 2023 wef 1st-July-2023 s53) 

(7) In any case to which subsection (6)(b) applies, the Commissioner shall only amend the alterations or additions made in the amended assessment to the original assessment.

(8) When the Commissioner has made an amended assessment, he or she shall notify the taxpayer in writing of the amended assessment and specify––

• (a) the amount assessed as tax or the deficit or excess input tax carried forward, as the case may be;
• (b) any amount assessed as late payment penalty payable in respect of the tax assessed; 
• (c) any amount of late payment interest payable in respect of the tax assessed; 
• (d) the reporting period to which the assessment relates; 
• (e) the due date for payment of any tax, penalty or interest being a date that is not less than thirty days from the date of the taxpayer received the notice; and 
• (f) the manner of objecting to the assessment. 

(9) Despite any notification to a taxpayer under this section, the due date for the payment of the tax payable under assessment (referred to as the “original due date’) shall not be altered and the late payment penalty and late payment interest shall also remain payable based on the original due date.

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